Next week, the Illinois State Board of Education (ISBE) is holding the first two of its three fall budget hearings, the first step in determining next year’s proposed education budget for the state. These hearings provide the early childhood advocacy community an opportunity to help shape the state’s Fiscal Year 2025 budget proposal. Please consider participating *virtually or in-person * in requesting a $75 million increase in state funding for the Early Childhood Block Grant (ECBG) and to continue and grow the $5 million investment to improve inclusion supports for children with disabilities and developmental delays.

Here’s how you can participate in the ISBE budget hearing process:

1. Visit ISBE.net/BudgetRequestForm, and enter your name and contact information.
2. Choose the hearing you’ll attend or select the option for submitting a written testimony. Written requests must be received by ISBE no later than Oct. 31.
3. Under the “Add Program Request” drop-down menu select “Early Childhood Education”
4. Enter $75,000,000.00 under the “Additional Requested Funding” section.
5. Under the field that begins with “Please provide the Board with a description of your funding request,” you will need to put further detail on the $75 million ask.

Upcoming Budget Hearings:

• Oct. 3, 4-7 p.m. CT (In-person in Springfield)
  Must submit a written funding request online by Sept. 28
• Oct. 5, 4-7 p.m. CT (Virtual)
  Registration deadline is Oct. 2 at 11:59 p.m.
  
• Oct. 30, 4-7 p.m. CT (Virtual)
  Registration deadline is Oct. 25 at 11:59 p.m.

General Tips to Testify at ISBE’s Fiscal Year 2025 Budget Hearings:

• Use your time wisely as oral testimony is being limited to three (3) minutes per person.
• Be sure to personalize your testimony with your own perspective.
• Compose your testimony with an introduction, early childhood needs, the $75 million ask and conclusion.
• Use your own words as much as possible, for variety and authenticity.

Contact us if you plan to testify or have questions. Thank you for speaking up for children and families across the state!

Late summer marks the beginning of the return-to-school season for K-12 teachers across the country. Yet within the early learning field, child care educators work year-round providing care for our youngest learners while earning low wages and working under difficult conditions.

According to 2021 survey data from the Illinois Network of Child Care Resource and Referral Agencies, the median wage for early childhood assistant teachers was $12.00 per hour and for early childhood lead teachers, the median wage was $14.29.¹ In terms of benefits, only approximately half of centers are able to offer health insurance.¹ Not only is compensation abysmally low, but child care teachers work long hours to reflect the unique care schedules of families.

July marked the beginning of the City of Chicago’s annual budget process, the first for Mayor Brandon Johnson. The City’s new administration has made clear their commitment to K-12 education and they are advocating for increasing quality learning opportunities and supports for all students. It’s our hope that the Mayor and City Council will consider including Chicago’s early childhood care and education system in their education and health priorities. Many early childhood programs in Chicago received a much needed influx of investment from ARPA relief dollars to help stabilize and support their programs. However, many of those funds will come to a cliff in the next few years. Now is the time to increase local investment to support Chicago families and follow in the State’s footsteps of prioritizing early childhood education in the budget.

Olympia prepares for Capital Lakefair 2023: An annual family-friendly festival complete with rides, fireworks and elephant ears!

Happy New Year! – Fiscal New Year, That is! July 1 signals the start of a new fiscal year and – in odd-numbered years – the start of a new biennium. While our wall calendars may say 2023, Washington state government is in State Fiscal Year 2024 as fiscal years run from July 1 through June 30. If you manage a state contract, you are likely well aware of this transition, as the end of a fiscal year often brings a flurry of activity to allow state agencies to “close their books.”

Many new laws go into effect at the start of new fiscal years, including the controversial drug possession law in response to the “Blake Decision.” For example, the 2021 Fair Start for Kids Act laid out a number of milestones to increase access and affordability to quality early care and education. Per the Fair Start for Kids Act, effective July 1, 2023, Working Connections Child Care monthly copayments for families earning between 50-60% of the State Median Income rose from $115 to $165 a month. The Fair Start for Kids Act also provided that at the start of the next biennium (July 1, 2025), eligibility for Working Connections Child Care will rise from 60% of the State Median Income to 75% of the State Median Income (rising from $4764 to $5955 a month for a family of three). Here’s a breakdown summary from our resources page.

State Revenue Updates

On June 27, the Washington State Economic and Revenue Forecast Council met to receive the final revenue report for state Fiscal Year 2023. The forecast projects higher than expected revenue for the biennium that just ended as well as for the upcoming 2023-25 and 2025-27 biennia. These increases are largely thanks to projected increases in capital gains revenues. For example, of the $327 million revenue increase forecasted for the 2023-25 biennium we just entered, $108 million can be attributed to higher than anticipated capital gains receipts and $89 million in higher sales tax revenues.

As a reminder, 2021 legislation affirmed by the Washington State Supreme Court in early 2023 created a 7 percent tax on the sale or exchange of certain capital gains assets valued above $250,000. The law took effect Jan. 1, 2022 and first payments were due by April 18, 2023. The enacting legislation provided that the first $500 million received be directed toward the Education Legacy Trust Account (ELTA) to support early learning and public schools and any dollars received above $500 million be deposited into the Common School Construction Account (CSCA).

Decision Package Process

(Photo Credit: Department of Children, Youth and Families)

As the graphic above demonstrates, there is little “downtime” in the state budgeting process because state agencies begin planning for budget requests for the next legislative session before the ink is even dry from the previous legislative session.

Like the legislative process, state budgeting also serves as a “funnel,” with the number of viable proposals narrowing down throughout the process.

Following direction provided by the Governor’s budget shop (the Office of Financial Management, or OFM), state agencies work over the summer months reviewing, vetting and modeling potential budget proposals (referred to as decision packages – or “DPs”) as well as agency request legislation (ARLs). This is a very intensive process as agencies weigh this executive guidance and agency priorities with other practicalities (e.g., supplemental budget year, legislative appetite, etc.).

In September of each year, state agencies officially submit their decision package and agency request legislation ideas to the Office of Financial Management (OFM). OFM then publishes all the submitted documents on its website so the information is available to the public. Once state agencies submit their proposals, the focus turns to OFM staff and the Governor as they enter “budget build,” reviewing the various decision packages and agency request legislation proposals.

This part of the process culminates in the release of the Governor’s proposed budget in mid-December annually. Note that even though we will have a new Governor in 2025, Governor Inslee will submit a final two-year budget in 2024 prior to leaving the Governor’s office.

It is also important to note that once the Governor’s budget is released, state agencies can only advocate for proposals contained therein. This means that if one of their decision packages was not included in the Governor’s budget, that state agency is limited to answering technical questions about the program/service and cannot advocate in the same way they can if the item is funded in the Governor’s budget. For this reason, decision packages have a short “shelf life.” Once the Governor’s budget is released, decision packages really only serve to provide data points and cost modeling information.

We will share a summary of key decision packages and agency request legislation after their release in September. In the meantime, check out our Deep Dive section from August for a refresher on how the decision package process works.

Impending Changes

(Photo Credit: Image by wirestock on Freepik)

Dominos Falling … I recently scrolled through the legislative website and was struck by the magnitude of change Olympia will see – regardless of the 2024 elections – and we have not even reached the time during election years when lawmakers looking to retire announce they are not seeking reelection. These announcements typically occur toward the end of the short legislative session in even-numbered years.

Governor Jay Inslee’s decision to not run for a fourth term as Governor set in motion falling dominos with the offices of Attorney General and Public Lands Commissioner opening up as those incumbents threw their hats in the ring for the Governorship. Shortly thereafter, longtime Insurance Commissioner Mike Kreidler announced he, too, would not seek another term.

These announcements set up a flurry of potential movement in the Legislature, particularly in the Senate, with at least four sitting Senators signaling interest in pursuing statewide elected office. Of course, some of these Senators could change their mind and decide not to run, or their quest for statewide office could come in a year when they are not up for reelection, so they would not have to give up their Senate seat if they did not prevail. If any sitting Senators do give up their Senate seats to seek statewide office, we can expect a number of their House of Representative seatmates to show interest in those Senate seats. More dominoes …

We already know the 2024 legislative session will not include longtime Senate Ways and Means Chair Christine Rolfes as she resigned her Senate seat effective mid-August to serve on the Kitsap County Board of Commissioners. Kitsap County Democratic Precinct Committee Officers selected Senator Rolfes’ House seatmate Drew Hansen as its top choice to fill the empty seat. The Kitsap County Board of Commissioners will make the final decision.

Legislative sessions are never boring and the magnitude of impending changes in personnel will make the “palace intrigue” of Olympia all the more fascinating.

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brief survey

Chicago’s new mayor, Brandon Johnson, has taken office at a pivotal time for shaping the future of Chicago’s early care and education system. Last week, the Illinois General Assembly passed the Fiscal Year 2024 budget, which includes an historic $300 million increase in statewide investments in the state’s core early care and education supports for families with young children. Much of this funding will benefit the over 200,000 children ages birth-5 in the city.

Outlined below are just some of the most notable impacts of Illinois’ newest budget on Chicago’s youngest learners and those who support their healthy development and education.

EARLY CHILDHOOD BLOCK GRANT: $75 Million Increase

Governor Pritzker’s Smart Start plan includes a welcome increase of $75 million (12.5%) in state funding for preschool, evidence-based home visiting services and center-based infant-toddler programs funded by the Early Childhood Block Grant (ECBG) at the Illinois State Board of Education (ISBE). As is required by state statute, Chicago Public Schools (CPS) will receive 37% of this increase, which translates to roughly $27.75 million.

Of this allocated funding, CPS has traditionally held on to 60% to fund their school-based pre-Kindergarten (pre-K) programs and sub-granted the remaining 40% to Chicago’s Department of Family and Support Services (DFSS), which are used to fund home visiting and center-based services in community-based programs. This breaks down to roughly $16.65 million more in funding directly for CPS’ pre-K programs and an additional $11.1 million in funding for DFSS-funded community-based early childhood programs.

With Chicago Public Schools recently having achieved universal pre-k for all 4 year-olds in the city, Start Early urges the district to consider how these additional funds coming to the city can support the infrastructure for these pre-k slots, including growing the early childhood workforce, targeting supports for children with disabilities and English learners and strengthening the birth-3 care pipeline that lays the foundation for later success in school.

EARLY INTERVENTION: $40 Million Increase

This astounding 34.5% increase in state funding for Early Intervention (EI) comes at a time when Chicago families continue to experience decreased access to services and long waitlists for children ages 0-3 with disabilities, due to a shortage in the EI workforce. These funds will be used to issue a much-needed 10% rate increase for EI providers beginning July 1, 2023.

EARLY CHILDHOOD INCLUSION: $5 Million in New Funding

Through the state budget, the Illinois State Board of Education will receive $5 million in brand-new funding directed toward supporting inclusion in schools and community-based early childhood settings for preschoolers with disabilities and developmental delays. Chicago Public Schools and Chicago’s six federal Head Start grant recipients have already been working together over the last year to build a plan for ensuring that children with disabilities who are enrolled in community-based early childhood programs have access to inclusive special education services in the least restrictive environment. This new ISBE funding signals a commitment to supporting the statewide infrastructure that makes efforts like the one in Chicago possible.

Early Saturday morning, the Illinois General Assembly approved the state’s Fiscal Year 2024 (FY 2024) spending plan, which contains historic investments in the early care and education system, including proposed measures outlined in Governor J.B. Pritzker’s multi-year Smart Start Illinois plan.

Start Early is thrilled that the final budget contains nearly $300 million in new state funding for child care, preschool, home visiting, the Early Intervention (EI) program, and inclusion supports for preschoolers with disabilities and developmental delays.

“Today is a remarkable day for young Illinoisans and their families,” Start Early Vice President of Illinois Policy Ireta Gasner said. “The General Assembly passed a budget that directs significant state funding to a set of bedrock early childhood programs families know, benefit from and love. We thank the legislature for funding the first year of Governor Pritzker’s Smart Start Illinois plan, and we stand ready to work with the administration and the General Assembly to continue building and strengthening the early childhood system Illinois children and families deserve.” 

With these dollars, more families will gain the access they need to critical early learning programs, and many in the early childhood workforce will see long-overdue increases in pay. Early Intervention providers, for instance, will receive a 10% rate increase come July 1, 2023, and the administration has promised to issue grants to child care providers that will allow them to increase salaries for teachers and staff. The state will also have new resources to further strengthen and expand its nation-leading system of home visiting services. Along with the creation of thousands of new preschool slots in schools and child care centers throughout Illinois, communities will be able to use additional education funding to further deepen services for families with infants and toddlers, like home visiting. 

Here are the specifics:

• $170 million (41.4%) increase for the child care system at IDHS
• $75 million (12.5%) increase for the Early Childhood Block Grant at ISBE
• $40 million (34.5%) increase for the Early Intervention (EI) program at IDHS
• $5 million (27.9%) increase for evidence-based home visiting programs at IDHS
• $5 million in brand-new funding at ISBE to support inclusion in schools and community-based early childhood settings for preschoolers with disabilities and developmental delays
• $50 million in new, one-time funding from the Build Illinois fund for the Early Childhood Construction Grant (ECCG) program (though in an unexpected policy change with which we disagree, funds will be directed only to school districts in FY 2024)

Several other important measures impacting the early care and education system – and the families and workforce who are a part of it – have been approved by the legislature this session, including:

• HB3817 (Rep. Gordon-Booth, Sen. Sims), the FY24 budget implementation bill, which:
  • Makes permanent the current income eligibility threshold (225% of FPL) for the Child Care Assistance Program (CCAP)
  • Establishes in law parts of the governor’s Smart Start Illinois plan,
• SB1794 (Sen. Pacione-Zayas, Rep. Ortiz) – establishes in law the existing IDHS home visiting programs
• SB2390 (Sen. Pacione-Zayas, Rep. West) – among other changes to address teacher vacancies in the state, extends for five years the current staffing flexibility that allows early childhood educators with a Level 5 from Gateways to Opportunity to teach in a Preschool For All classroom provided they are working to secure their teaching license
• HB2396 (Rep. Canty, Sen. Lightford) – requires each school board to establish a developmentally appropriate full-day kindergarten program by the 2027-2028 school year

We expect the Governor to sign and approve this final budget package soon. 

This suite of policy changes and funding increases was made possible by the commitment and diligent efforts of advocates across the state! Throughout the spring legislative session, parents, educators and advocates contacted state legislators thousands of times on behalf of Illinois families and those who serve them. We encourage you to reach back out to Governor Pritzker and your elected officials to thank them for prioritizing early childhood programs and services that set up our youngest learners for health and success in school and in life. 

Lee la declaración en español

The Capitol Campus is just showing off …

With swift action on the “Blake Fix” relating to drug possession laws and treatment during a one-day special session May 16, 2023, the Legislature officially concluded its business, ushering in the beloved season simply known as “interim.”

This edition of “Notes from Olympia” includes a wrap-up of budget and policy items, revenue updates and other key announcements.

Bill Signings Completed

Bill action. Following adjournment of the Special Legislative Session on May 16, Governor Jay Inslee signed the final bill passed by the Legislature (which, fittingly, was 2E2SSB 5536 related to drug possession and treatment, the topic of the special session).

Although the Governor signed into law most of the bills that reached his desk, he did issue some vetoes and partial vetoes. One bill he vetoed in its entirety was SHB 1590, which would have changed the membership and subcommittee structure of the Department of Children, Youth and Families Oversight Board. In his veto letter, Governor Inslee expressed his preference for a different approach for including the voices of individuals with expertise in educating youth in juvenile institutions or foster care.

Start Early Washington updated its bill tracker on its resources page to reflect the Governor’s actions on early learning related bills.

Budgets signed. The Governor signed both the Capital and Operating budgets, with some partial vetoes. Avid readers of our trivia section will be pleased to hear the Capital budget provision to restore the historic skylights in the Legislative Building in advance of the building’s 100-year anniversary of its opening in 2028 was approved.

Those of you, however, hoping to access the top of the Capitol dome via its steep 262 stairs for the first time since 2007 will be disappointed to hear that Capital budget provision was vetoed due to safety concerns. As a result, this photo outside of the cupola atop the Dome will not be recreated anytime soon:

The year of this photo is unknown, but my educated guess is the late 1960s- early 1970s based on the snazzy fashion choices.
(Photo Credit: Washington State Archives)

Start Early Washington’s resource page also includes a breakdown of new investments in early learning related items. Our initial math shows these investments total just south of $740 million in new federal and state funding. One of our interim projects is to dive deeper into these numbers. Our working hypothesis is that this is the largest increase in state funding for early learning to date.

Revenue Collection Update

Each month, the Washington State Economic and Revenue Forecast Council produces updates on revenue collections and other economic trends (such as unemployment and housing construction).

May revenue collections came in $16.4 million lower than the March forecast. Adding in the April revenue collections, cumulative revenues are now $21 million lower than forecasted. If actual revenue collections continue to come in lower than forecasted, adjustments to the 2023-25 biennial budgets will need to be made when the Legislature returns in 2024.

Chh-Chh-Chh-Changes

Near the end of the bill signing period, Governor Jay Inslee announced he does not plan to pursue a fourth term as Governor in 2024, setting off a chain of subsequent declarations (official and “exploratory”) of intent to run for various offices. We could also see movement in the legislative makeup – and chairmanship(s) of key committee(s) – prior to the start of the 2024 legislative session as a number of sitting lawmakers threw their names in for consideration for local government roles.

As a result of these announcements, change will be the theme in Olympia at least through 2025.

A New Policy and Politics Resource

The Washington State Standard, a great new, nonpartisan resource focused on Washington state government, is now available free of charge. Reporters for the Washington State Standard include longtime Olympia reporter Jerry Cornfield (formerly of the Everett Herald) and Laurel Demkovich who covered Olympia for the Spokesman Review. The Washington State Standard has quickly become a “must read” for those interested in policy and politics at the state level. Sign-up to receive a daily update in your email.

One of its first stories focused on child care, analyzing the gaps in our system regarding family access, affordability and provider compensation.

Final Note – Update on the Newhouse Building

Now that I’m no longer in Olympia on a daily basis, I rely on colleagues and Twitter to keep me updated on the status of the various construction projects that entertained me during the session. Thanks to DCYF Government Affairs Policy Advisor Mary Sprute Garlant for this status update on the Newhouse Building construction as of May 4. My “sources” tell me the building is now completely demolished.

Newhouse Building construction as of May 4, 2023
(Photo Credit: DCYF Government Affairs Policy Advisor Mary Sprute Garlant)

Thanks for reading! We will be sharing updates periodically throughout the legislative interim. Feel free to share any ideas for deep dives or trivia.

The Governor’s multi-year Smart Start Illinois proposal includes important and unprecedented increases to home visiting programs: a $75 million proposed increase to the Early Childhood Block Grant (ECBG) under the Illinois State Board of Education (ISBE), which includes the Prevention Initiative home visiting program, as well as a $5 million increase to the Illinois Department of Human Services (IDHS) home visiting programs. Passage of the Governor’s proposed fiscal year 2024 budget and implementation of Smart Start Illinois will have a significant impact on home visiting services in Illinois by bolstering supports to recruit and retain a diverse and highly-qualified workforce and dramatically expanding the reach of programs to serve more children and families.

Illinois has a long and robust history of supporting home visiting services as a key pillar in the continuum of infant/early childhood services that strengthen the caregiver-child relationship and connect families to vital community resources to support long-term healthy development and well-being. Annually, Illinois serves an estimated 22,000 families across multiple home visiting models supported by a mix of state and federal funding streams. But we know that more families could benefit from these services, and that the home visiting workforce is at a crisis point with low wages driving turnover, which impacts family retention.

Start Early recommends that increased funds should be used to raise wages for home visitors to sustainable and respectful levels, as well as expand program access, particularly for prenatal and doula services and improve access to these services for families with infants and toddlers. As ISBE and IDHS work to grow the reach of programs, funding should also be used for capacity building or a separate funding opportunity to help start new programs in needed areas, as well as for supports, such as Infant/Early Childhood Mental Health Consultation, and enhancements for programs serving priority populations.

Ms. Clarissa Sepulveda, a Chicago Public Schools Pre-K Diverse Learner Teacher at Rodolfo Lozano School, left her previous job as an educator and early intervention provider at a community-based early learning program because she could earn more working in schools.

“First of all, the support at community-based programs is not enough. Our ratio was always super high, the stress was immense for the pay we would get. And you’re talking about people who have so many degrees. I started with my Associate’s, then Bachelor’s, Bilingual Endorsement, Special Education Endorsement. No matter what you got, it didn’t matter.” – Ms. Clarissa Sepulveda

Now, as a school Diverse Learner Teacher, Ms. Sepulveda and her colleagues also constantly witness the lack of support priority populations (e.g., English Learners and students with disabilities) receive in preschool classrooms. To address this and other issues, Governor Pritzker proposed the multi-year Smart Start Illinois plan that will provide an additional $75 million in fiscal year 2024 (FY24) for the Early Childhood Block Grant, a program administered by the Illinois State Board of Education.

The Early Childhood Block Grant provides support for the Preschool for All, Preschool for All Extension, and Prevention Initiative programs. The additional funds will help the state continue increasing compensation and providing support for the early childhood workforce, particularly those employed by community-based organizations or working with infants and toddlers. It will also target child care deserts and will create five thousand new preschool slots. Families and providers across the state have been demanding for more child care and preschool access, and this investment will help create the additional slots needed for more diverse learners, like the students Ms. Sepulveda cares for day in, day out. But supporting and properly compensating the workforce who will care for our children is of top priority. Learn more about how Smart Start will address the workforce compensation issues for community-based providers.

In early February, Governor Pritzker announced Smart Start Illinois, his administration’s proposal to make the largest investments in early care and education that the field has seen in a generation. The proposal includes $100 million in funding to build new and expand current child care facilities, an additional $50 million for the Child Care Assistance Program (CCAP), and $130 million to enhance wages for the workforce through child care contracts.

Although Start Early is grateful for the Governor’s renewed attention to child care to begin his second term – we simply cannot stop at Smart Start’s investments because in the long-term, this funding is not sufficient to create a robust child care system that works for all children and families in Illinois. Far too many families across the state cannot access child care, much less high-quality care, due to its exorbitant cost and the lack of available classroom slots. According to Start Early’s Infant & Toddler Child Care Roadmap report, licensed child care centers have the capacity to care for only 17.4% of the state’s infants and toddlers.

The earliest years in a child’s life are the most critical years for brain development, yet infant/toddler child care is by far the most difficult type of care to secure in Illinois. It is the most expensive form of care due to low teacher-child ratios (1:4) and it’s often not seen as desirable work because of its physical nature and very low pay. In fact, infant/toddler teachers throughout the state are typically paid less than their peers. Teachers who care for our youngest learners deserve better and unless we raise teacher salaries, we will not have the workforce to increase child care slots.